Paladin – More to Come, or a Double Top?

A new high was reached at $9.80 on February 20. On Thursday we got all the way back to $9.77 before closing at $9.69. If Paladin falls on Monday and Tuesday, we could be looking at a double top, which is never good news.

However, on the positive side, the RSI is approaching, but not yet up to oversold levels, and the MACD is still looking fine, so more upside is possible. A slight drop on Monday and Tuesday won’t concern me; a drop to the $9 level will be a cause for concern.

There has been so much discussion about Paladin that, at the suggestion of one of the Forum members, I have added a new Paladin Board for your comments. Some of the discussion centers around Queensland Premier Peter Beattie reversing his previous strong opposition to uranium mining in his state. He was afraid it would hurt the coal industry, but with prices for uranium as high as they are, no sane politician can ignore it. Later this month the Labor Party is expected to end it’s opposition to new uranium mines, which should give Australian producers a boost.

Therefore, for the next few weeks, barring a collapse in Paladin, I’m holding.